Mortgage rates drop, refinancing applications jump

Applications for home mortgages rose last week nationwide as rates for
fixed mortgages fell below 5 percent, the Mortgage Bankers Association
said today. The group’s index of mortgage application activity
increased 45.7 percent last week, to its highest level since January
16. The increase was mostly due to mortgage refinancing; the
organization’s index of refinancings rose 64.3 percent. Loan requests
for home purchases rose 9.1 percent, the group said.